Reducing the use of TA Taking a different view to our housing options...

Why oh why….. So, despite;  Burden on Taxpayer  Quality & Cost of Accommodation  Effect on household of TA  Benefit trap, due to rent levels  Stress and uncertainty of TA  Stigma We still have;  Councils and RSLs encouraging use of TA

Context  TA is simply easier  No real desire to reduce TA  Increasing demand on PRS  Increasing stigma on ‘DSS’ clients  Making procurement more difficult  Reducing Council budgets  Outsourcing  Increase in ‘risk averse’ approaches  ‘Temporary’ no longer temporary

Let’s not forget  TA, should be just that  TA whilst we find a solution  Social Tenancy  PRS Tenancy  Supported Tenancy (more complex needs)  So what are the realistic options  Await the dramatic results of Mr Millibands rent reforms  Create more TA  Access the PRS, but is this realistic

Accessing the PRS  Consider what you currently spend on TA  Consider what you spend on accessing PRS  Think again about how you use these resources  Social Lettings Approach  Property & Tenancy Management  Guaranteed Rent  Tenant Referencing  Tenant Training and Preparation  Developing Landlord Investments

Developing Sustainability..  Understand your market  Resources  Financial  Staffing  Skillsets  Commercial Mindset  Why you?  Autonomy  Flexible to changing market

Products & Marketing  Products  What will people buy?  Where’s the niche?  What can we deliver?  Don’t restrict yourselves  Marketing  Why you?  Build contacts – ongoing marketing  Marketing mediums  Be ahead of the market and be responsive

Sustaining & Growing  Sustaining  No short term unsustainable products  Constant Service review and team meetings  Tie SLA into wider corporate aims  Vital to set targets and report on outcomes  Growing  Has the SLA got potential?  Can you attract Landlord investors?  Would you procure out of borough?  Expand sensibly and with a plan  Focus on mitigating your weaknesses

Landlord Investment Luton 2 bedOxford 2 bed Property Value£130,000£195,000 Mortgage£97,500£146,250 Landlord Invests£32,500£48,750 Mortgage Payment (MR)£325£485 LHA Rate£587£818 Guaranteed Rent (GR)£530£765 GR - MR530 – 325 = £ x 12 = £2, – 485 = £280 £280 x 12 = £3,360 Annual Rate of Return7.6%6.9%

Summing Up  This is difficult, but not impossible  Think: what happens if we don’t change?  Focus on  Identifying current resources  Where is the niche locally, how will you fill it?  Get the right skills, support and mindset  Identify, engage and convince your customers  Stay ahead of the game, innovate  Constantly review service and opportunities  Running a business – you need to be a Swan

Contact details Inside Housing Solutions Ltd South Barn, Capel Road Rusper, Horsham West Sussex RH12 4PY T/F: (01293) E: W: